Updated 12.15pm with PN reaction
The EU is in the dark about the government’s plans to divert EU funds away from electric buses and towards subsidies for private electric vehicles, according to a European Commission spokesperson.
Back in 2023, the government had pledged to invest €34 million in recovery and resilience funding to purchase 102 electric buses, together with a further €50.3 million to subsidise private electric vehicles.
But in an abrupt change of plans, last month it was revealed that the €34 million, together with a further €7 million earmarked to install EV charging infrastructure, would instead be used to fund the purchase of private electric cars.
This raised questions over whether the European Commission had given its blessing to these changes, with a European Commission spokesperson telling Times of Malta that the government has yet to notify it of the change of plans.
According to EU’s Recovery and Resilience funding (RRF) rules, any change to a funding plan first needs to be vetted and approved by the commission, following a request submitted by the member state.
Article 21 of the funding programme’s rules explains how changes to the way in which funds will be spent need to be communicated to the European Commission through a “reasoned request” which proposes an “amended or a new recovery and resilience plan”.
When contacted, a European Commission spokesperson reiterated these rules, saying that member states can request amendments to their recovery plans if specific milestones or targets are no longer achievable because of objective circumstances.
The commission then “evaluates whether the reasons put forward by the member state justify an amendment of their plan” and decides whether to accept the request or turn it down.
But, the spokesperson added, “Malta has not submitted a request under Article 21 of the RRF Regulation to amend its Recovery and Resilience Plan” to date.
This suggests that Malta’s intention to change its funding target has yet to be communicated to the European Commission, let alone vetted or given the green light.
The change of plans seemingly spelt the end of Malta Public Transport’s plans to invest in the electrification of Malta’s bus fleet, with a spokesperson for the company telling Times of Malta that the planned project was “no longer feasible and cannot go ahead”.
Questions sent to the transport ministry remain unanswered at the time of publication.
'Abela says one thing but does another': PN
In a statement, the PN said Times of Malta's article revealed "how Robert Abela says one thing but does another".
"Times of Malta exposed that the Labour Government had not even informed the EU about this decision. The excuse given by Abela, when it was revealed that nothing had been done regarding his promise of 100 non-polluting buses, has completely crumbled," spokespeople David Agius, Ryan Callus, Mark Anthony Sammut and Eve Borg Bonello said.
While a European Commission spokesperson had confirmed that the Labour government had failed to deliver on its commitments, the government was also forfeiting EU funds to improve air quality, they added.
They noted to data published last year showing that between 2013 and 2017, Malta ranked last among EU countries in the use of Cohesion Funds available to it. The government had wasted 15% of the funds Malta was entitled to from the EU, a loss unmatched by any other country, they said.
"It is shameful that funds that could have benefited the Maltese and Gozitans were lost due to the incompetence of the Labour Government.
"Abela cannot be trusted because, while he says one thing, he does the opposite. He tried to convince the public that he delivered a budget without taxes, but during the Christmas holidays, he quietly introduced new taxes. To address the record debt they brought upon the country, Abela and [Finance Minister] Clyde Caruana introduced numerous new taxes on the financial services sector through legal notices published in the Government Gazette on Christmas Eve."
They claimed the record debt - "for which there is little to show" - was leading to new taxes and mismanagement of public finances, including EU funds.
"PN is the only solution for the Maltese and Gozitans. While the Labour government is stingy with people’s health – as it has done in this case with electric vehicles – but squanders thousands on its inner circle - a new Nationalist government will deliver electrified mass transport.
"This will not only reduce emissions on our roads but also provide efficient and adequate services. Above all, we promise accountability and seriousness in public spending and the use of EU funds, ensuring they serve the common good rather than the interests of a few."